A scam artist…or even someone well-intentioned…may tell you that filing bankruptcy will stop a home foreclosure. While it’s true that it can, it’s only temporary.
Filing bankruptcy brings into play an “automatic stay” that stops any collection and foreclosure proceedings…giving a bankruptcy court time to administer the case.
Eventually, you will have to resume paying your mortgage lender…or the lender will be able to move forward with the foreclosure.
Bankruptcy is rarely… if ever…a permanent solution to avoid foreclosure. In addition, having “bankruptcy” on your credit report will negatively impact your credit score, and it will remain on your credit report for 10 years.
As always, check with your attorney, CPA, etc.